An increase in the inventory holding period, all else

Q: Answer-An increase in the inventory holding period, all else being equal, will:

The Cash Conversion Cycle CCC Days Inventory Outstanding DIO Days Sales Outstanding DSO - Days Payable Outstanding DPO. An increase in the inventory holding period DIO directly increases the CCC, meaning the companys cash is tied up in working capital for a longer time.

being equal, will:

A Shorten the cash conversion cycle.

B Lengthen the cash conversion cycle.

C Have no effect on the cash conversion cycle.

D Improve the quick ratio.

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An increase in the inventory holding period, all else

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